A search for two people feared dead in a plane crash off the Gold Coast is to enter its second day on Tuesday.

Just after midday on Monday emergency services were called to South Stradbroke Island where a red Tiger Moth plane had crashed into the ocean.

It’s understood a surf life saving member made the triple-0 call after seeing the aircraft plummet into the sea about 400 metres from the shore.

Water Police, jet skis, a police helicopter and a CareFlight helicopter scoured the area on Monday afternoon but nothing was found.

The search was suspended on Monday night and is expected to resume at 6am (AEST) on Tuesday.

A police spokeswoman told AAP the missing people had not been recovered.

“(The search) did locate parts of the plane and possibly the engine,” she said.

News Corp Australia reports a French tourist was on board the flight with the pilot.

Gold Coast Water Police Senior Sergeant Lucas Young told reporters on Monday police divers would inspect the wreckage to seek more information.

The Australian Transport Safety Bureau will travel from Canberra to investigate the crash, Snr Sgt Young said.

The two-seater plane is owned by Gold Coast-based operator Tiger Moth Joy Rides, which offers scenic flights and aerobatic flights including barrel rolls and other manoeuvres.

Spokesman Jeff Stillman told AAP that the company was still trying to understand what has happened.

“We’re not real good, mate, look we don’t have the information as yet, we don’t really know what’s going on,” he told AAP.

“We’re all very worried about all the occupants of the plane.”

Photos from the crash scene show parts of the plane’s wreckage, painted a vivid red, floating in the water.